Trend Following Indicators, Free Forex Indicators (MT4)

Relative Vigor Index

Relative Vigor Index is known as the trend oscillator. The best thing about this indicator is, it not only detects the possible change of the market trend but also indicates the possible length of the current momentum. Besides, it works as a stand-alone indicator and will guide you through the entry to exit of each market entry.

Relative Vigor Index works best between M15 to H1 timeframe charts but can be applied to trade any Forex currency pair at the Forex MT4 trading terminal. For its greater signal accuracy and simplicity of chart display, newbie traders are widely accepting it for their daily trading operations.

Relative Vigor Index Overview

After installing RVI at your MT4 terminal, your trading chart will appear as the following image:

Relative Vigor Index Overview

Relative Vigor Index (RVI) applies a dual channel of indexes with different parameters to plot the crossovers and the trend signals as well. The red RVI moves below the green RVI carrying positive values are considered as the bullish crossovers which signal the possible start of a bullish trend.

On the contrary, the red RVI moves above the green RVI carrying a negative value that signals the bearish crossover along with the bearish trend as well. For a better result, always aim to buy from the low and sell from the high of the market.

Relative Vigor Index: Buy Parameters

Relative Vigor Index Buy Parameters
  • It plots the bullish crossover
  • Its value is positive
  • Price bar closes as a bullish bar
  • Buy triggers when the following candle breaks the high of the signaling bar
  • Set stop loss below the low of the respective bullish candle
  • Exit long/take profit once Relative Vigor Index plots a bearish crossover signal

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Relative Vigor Index: Sell Parameters

Relative Vigor Index Sell Parameters
  • It plots the bearish crossover
  • Its value is negative
  • Price bar closes as a bearish bar
  • Sell triggers when the following candle breaks the low of the signaling bar
  • Set stop loss above the high of the respective bearish candle
  • Exit short/take profit once Relative Vigor Index plots a bullish crossover signal

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I have been actively trading stocks and currencies since April 2012. Besides trading with my personal money I am a technical analyst in a mutual fund which has Rs. 1 billion in assets under management. At my leisure, I love attending live music, traveling, and partying with friends.

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